Press release
Statement by the Minister for Agriculture Food & Marine, Michael Creed TD on conclusion of Beef Talks
From Department of Agriculture, Food and the Marine
Published on
Last updated on
From Department of Agriculture, Food and the Marine
Published on
Last updated on
The Minister for Agriculture Food & Marine, Michael Creed TD, today announced that agreement had been reached between Meat Industry Representatives and Farm Organisations (IFA,ICMSA,ICSA, Macra na Feirme, INHFA, the Beef Plan Movement and Independent Farmers) on a two strand agreement for the reform of the Irish Beef Sector.
The agreement involves a number of interventions which will provide immediate benefit for beef producers, as well as a range of strategic measures which seek to to address structural imbalances in the sector.
Confirming details of the Agreement the minister said “beef producers will benefit from an immediate increase in a range of bonuses, including:
A Beef Market Task Force will be established to provide leadership to develop a sustainable pathway for the future of the beef sector in terms of economic, environmental and social sustainability. The Taskforce will be independently chaired by an appointee of the Minister, and will include DAFM, relevant State agencies and nominees from farm organisations and the meat industry. The Taskforce will provide for a robust implementation structure for commitments entered into in this Agreement, with timelines and stakeholder engagement. Furthermore the Beef Market Taskforce will offer a suitable platform for strategic engagement with key stakeholders including retailers, regulatory authorities etc.
Commenting on the structural reforms agreed the Minister said; “A number of actions in the area of market transparency, beef promotion and strengthening the position of the farmer in the supply chain were agreed upon. For example:
The agreed measures set a course towards greater clarity for all stakeholders involved in the beef supply chain, primarily farmers.”
The Minister concluded “I wish to thank all participants in this process for their contribution towards agreeing a way forward for the Irish beef sector. I hope that this Agreement will prove to be a first step in fostering stronger partnerships in this critical sector for the Irish economy and for Rural Ireland. “
Notes for Editor
Irish Beef Sector Agreement, 15th September 2019
This Agreement, reached on 15th September 2019, in Agriculture House, Kildare Street, Dublin 2, is in respect of the Irish Beef Sector. This agreement should be read in conjunction with the Backweston ‘Conclusions and Next Steps’ document dated 21 August.
Strand One: Immediate benefits for farmers
Strand One of the Agreement involves a number of interventions which will provide immediate benefit for beef producers. The following interventions were agreed:
Strand Two: Strategic Structural Reforms
Strand Two of the Agreement sets out the strategic measures which seek to address structural imbalances in the beef sector.
Market Scrutiny
Initiatives aimed at improving information along the supply chain will include the immediate commissioning of the following reports, with a view to publishing before the end of 2019:
Beef Market Taskforce
As part of Strand One and underpinning Strand Two, a Beef Market Task Force will be established to provide leadership to develop a sustainable pathway for the future of the beef sector in terms of economic, environmental and social sustainability. The Taskforce will be independently chaired by an appointee of the Minister, and will include DAFM, relevant State agencies and nominees from farm organisations and the meat industry. The Taskforce will provide for a robust implementation structure for commitments entered into in this Agreement, with timelines and stakeholder engagement. Furthermore, the Beef Market Taskforce will offer a suitable platform for strategic engagement with key stakeholders including retailers, regulatory authorities etc.
The Task Force will review and bring forward measures that can support farmers transitioning from lower grade animals towards higher-spec categories through innovation and new technologies.
Promotion
Bord Bia will further intensify promotional activity for Irish beef across key EU markets and China.
DAFM and Bord Bia are actively engaging with the EU Commission on the development of a Protected Geographical Indication for Irish beef.
Transparency
In advance of the implementation of a new EU Regulation on price reporting across the EU, DAFM will provide additional detailed price reporting on the Beef PriceWatch app. EU experts will be invited to brief the Task Force on the expanded EU meat market observatory methodology.
Key retail customers will be invited to brief the Task Force on their market requirements.
The Task Force will examine transparency models in other jurisdictions.
A consultation process will be launched shortly on the transposition of the Unfair Trading Practices (UTP) Directive, including consideration of the requirement for an independent regulator.
DAFM will report its carcass classification inspection results on a regular basis. An expert report on mechanical carcass classification will be published in the near future. An appeals system for manual grading factories is being introduced.
Teagasc will review the hot/cold weighing system.
FSAI and DAFM will ensure strict enforcement of EU labelling laws.
Strengthening the position of the farmer in the supply chain
DAFM is proactively engaging with several potential beef Producer Organisations and providing guidance on the application process. The first beef PO was approved by DAFM this week.
Live exports are a critical outlet to improve competition in the sector. DAFM is committed to a continued strategic focus in facilitating and developing this trade on a sustainable basis, taking account of stringent animal health and welfare standards.
Miscellaneous industry commitments
Meat industry confirmed that the base price at individual plant level applies to all steers and heifers regardless of age or breed.
No change in weight limits without a minimum of four months notice to the farmer.
Farmers have the right to access their carcass images.
Lairage weighing services will be provided on request, which may incur a nominal charge.
Written confirmation of terms of sale, where requested.
Farmers can opt out of the insurance scheme for animals delivered to factories.
Resolution of dispute
All parties have entered into this agreement in good faith. The intention here is to resolve all outstanding issues between farmers and processors. We agree as follows:
The parties to this agreement, which was facilitated by the Department of Agriculture, Food and the Marine, on 15 September 2019, are:
ENDS